Cabinet gives approval to new Kerosene price

The Cabinet of Ministers today (June 12) approved the reduction of the price of a liter of Kerosene to 70 rupees. The Ministry of Finance announced that the decision will take effect from midnight tonight (June 12).

According to the decision made by Cabinet on the 10th of May, the price of a liter kerosene was increased from Rs. 44 rupees to Rs. 101 rupees, an increase of Rs. 57. Following the 130% increase, the government said the heavy subsidized fuel is being misused by owners of heavy vehicles including buses and lorries. The Government further noted a relief program will be created to ensure that low-income earners and the fishing community will not be adversely affected by the oil price increase.

However with mounting pressure from Fishermen and other low-income groups, the cabinet today decided to reduce the price of kerosene. Minister of Fisheries & Aquatic Resources Development and Rural Economic Affairs Vijith Vijayamuni Soysa stated that a cabinet paper was presented today that to sell Kerosene oil at 70 rupees a liter, not only to the fishermen but to everyone. However, the minister had previously stated that the imposition of tax on fuel is a good thing